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Indo Defence 2016: Limitations remain despite spend increase

24th October 2016 - 12:00 GMT | by Gordon Arthur in Hong Kong

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The Indonesian government aims to allocate at least 1% of GDP to defence in the next few years, although it remains to be seen whether this is attainable. 

Funding constrains modernisation of the armed forces, which in turn forces older equipment to remain in service. 

Jakarta increased the 2016 defence budget to $8.28 billion, a 9.2% increase. Much of the extra will be spent on procurements and on upgrading bases, including on the Natuna Islands in the South China Sea.

In recent years there has been a desire to make Indonesian Army units more mobile to fill defensive gaps in

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Gordon Arthur

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Gordon Arthur


Gordon Arthur was the Asia Pacific editor for Shephard Media. Born in Scotland and educated …

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